[Federal Register Volume 64, Number 201 (Tuesday, October 19, 1999)]
[Notices]
[Pages 56343-56346]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-27247]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Call for 2005 Resource Pool Applications

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of the call for 2005 Resource Pool applications.

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SUMMARY: The Western Area Power Administration (Western), a Federal 
power marketing administration of DOE, published its 2004 Power 
Marketing Plan (Marketing Plan) for the Sierra Nevada Customer Service 
Region (Sierra Nevada Region) in the Federal Register. The Marketing 
Plan specifies the terms and conditions under which Western will market 
power from the Central Valley Project (CVP) and the Washoe Project 
beginning January 1, 2005. The Marketing Plan provides for a 2005 
Resource Pool of up to 4 percent of the Sierra Nevada Region's 
marketable power resources. The 2005 Resource Pool is available for new 
power allocations to qualified entities. Preference entities who wish 
to apply for a new allocation of power from Western's Sierra Nevada 
Region must submit formal applications conforming to the procedures 
below. The eligibility and allocation criteria are defined in the

[[Page 56344]]

Marketing Plan and described later in this Federal Register notice. 
Existing customers' conditional resource extension percentages are 
listed in the Marketing Plan. Existing customers do not need to submit 
applications for their resource extensions. However, if an existing 
customer wishes to apply for a new allocation of power, in addition to 
its resource extension, it must meet the eligibility criteria and 
submit an application.

DATES: Entities interested in applying for an allocation of Western 
power must submit applications to Western's Sierra Nevada Customer 
Service Regional Office at the address below. Applications must be 
received by 4 p.m., PST, on December 20, 1999. Applicants are 
encouraged to hand-deliver or use certified mail for delivery of 
applications. Applications will be accepted via regular mail through 
the United States Postal Service if postmarked at least 3 days before 
December 20, 1999, and received no later than December 21, 1999. 
Western will not consider applications that are not received by the 
prescribed dates. Western will publish a Notice of Proposed Allocations 
in the Federal Register after evaluating all applications.
    Application dates and procedures and power purchase options 
applicable to first preference customers/entities are provided in the 
Marketing Plan.

ADDRESSES: Applications must be submitted to the Power Marketing 
Manager, Western Area Power Administration, Sierra Nevada Customer 
Service Region, 114 Parkshore Drive, Folsom, CA 95630.

FOR FURTHER INFORMATION CONTACT: Howard Hirahara, Power Marketing 
Manager, at (916) 353-4421 or by electronic mail at [email protected].

SUPPLEMENTARY INFORMATION:

Authorities

    The Marketing Plan for marketing power by the Sierra Nevada Region 
after 2004, published in the Federal Register (64 FR 34417) on June 25, 
1999, was established pursuant to the Department of Energy Organization 
Act (42 U.S.C. 7101-7352); the Reclamation Act of June 17, 1902 (ch. 
1093, 32 Stat. 388) as amended and supplemented by subsequent 
enactments, particularly section 9(c) of the Reclamation Project Act of 
1939 (43 U.S.C. 485(c)); and other acts specifically applicable to the 
projects involved.

Regulatory Procedure Requirements

Regulatory Flexibility Analysis

    The Regulatory Flexibility Act of 1980 (5 U.S.C. 601, et seq.) 
requires Federal agencies to perform a regulatory flexibility analysis 
if a final rule is likely to have a significant economic impact on a 
substantial number of small entities and there is a legal requirement 
to issue a general notice of proposed rulemaking. Western has 
determined that this action does not require a regulatory flexibility 
analysis since it is a rulemaking of particular applicability involving 
services applicable to public property.

Environmental Compliance

    In compliance with National Environmental Policy Act (NEPA) (42 
U.S.C. 4321, et seq.), Council on Environmental Quality NEPA 
implementing regulations (40 CFR parts 1500-1508), and DOE NEPA 
implementing regulations (10 CFR part 1021), Western completed an 
environmental impact statement (EIS) on its Energy Planning and 
Management Program (EPAMP). The Record of Decision was published in the 
Federal Register (60 FR 53181, October 12, 1995). Western will market 
the Sierra Nevada Region's power resources consistent with the Power 
Marketing Initiative under EPAMP (60 FR 54151, October 20, 1995). 
Western also completed the 2004 Power Marketing Program EIS (2004 EIS), 
and the Record of Decision was published in the Federal Register (62 FR 
22934, April 28, 1997). The Marketing Plan falls within the range of 
alternatives considered in the 2004 EIS. This NEPA review identified 
and analyzed environmental effects related to the Marketing Plan.
    Available reservoir storage and water releases controlled by the 
United States Department of the Interior, Bureau of Reclamation 
(Reclamation) influence marketable CVP and Washoe Project electrical 
capacity and energy. Under the CVP Improvement Act of 1992 (Pub. L. 
102-575, Title 34) (CVPIA), Reclamation is in the final stages of a 
programmatic EIS (PEIS) examining the potential impacts of implementing 
the CVPIA's fish and wildlife restoration obligations and potential 
changes in CVP operations and water allocations to meet those 
obligations. Actions based on the PEIS may result in modifications to 
CVP facilities and operations that would affect the timing and quantity 
of electric power generated by the CVP. Such changes may affect 
electric power products and services which will be marketed by Western. 
The Marketing Plan is designed to accommodate these changes. Western is 
a cooperating agency in Reclamation's PEIS process.

Review Under the Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1980 (44 U.S.C. 
3501, et seq.), Western has received approval from the Office of 
Management and Budget for the collection of customer information in 
this rule, under control number 1910-0100.

Determination Under Executive Order 12866

    Western has an exemption from centralized regulatory review under 
Executive Order 12866; accordingly, no clearance of this notice by the 
Office of Management and Budget is required.

Small Business Regulatory Enforcement Fairness Act

    Western has determined that this rule is exempt from congressional 
notification requirements under 5 U.S.C. 801 because the action is a 
rulemaking of particular applicability relating to services and 
involves matters of procedure.

Background

    The Marketing Plan provides for Western to offer up to 4 percent of 
the Sierra Nevada Region's marketable power resources to new and 
certain existing customers under the process in this notice.
    CVP power facilities include 11 powerplants with a maximum 
operating capability of about 2,044 megawatts (MW), and an estimated 
average annual generation of 4.6 million megawatthours (MWh). Western 
markets and transmits the power available from the CVP.
    The Washoe Project's Stampede Powerplant has a maximum operating 
capability of 3.65 MW with an estimated annual generation of 10,000 
MWh. Sierra Pacific Power Company owns and operates the only 
transmission system available for access to Stampede Powerplant.
    Western owns the 94 circuit-mile Malin-Round Mountain 500-kilovolt 
(kV) transmission line (an integral section of the Pacific Northwest-
Pacific Southwest Intertie), 803 circuit miles of 230-kV transmission 
line, 7 circuit miles of 115-kV transmission line, and 44 circuit miles 
of 69-kV and below transmission line. Western also has part ownership 
in the 342-mile California-Oregon Transmission Project. Many of 
Western's existing customers have no direct access to Western's 
transmission lines and receive service over transmission lines owned by 
other utilities.

[[Page 56345]]

    The Marketing Plan describes how the Sierra Nevada Region will 
market its power resources beginning January 1, 2005, through December 
31, 2024. Western will, at its discretion, allocate a percentage of the 
2005 Resource Pool to applicants that meet the eligibility criteria. 
This allocation percentage will be multiplied by the 2005 Resource Pool 
percentage to determine the applicant's percentage of the Base Resource 
as described in the Marketing Plan. Once the final 2005 Resource Pool 
allocations have been published, Western will work with the new 
customers to develop a customized product to meet their needs, as more 
fully described in the Marketing Plan.

Eligibility Criteria

    Western will apply the following eligibility criteria to all 
applicants seeking a resource pool allocation under the Marketing Plan.
    1. Applicants must meet the preference requirements of Reclamation 
law.
    2. Applicants should be located within the Sierra Nevada Region's 
primary marketing area as defined in the Marketing Plan. If the Sierra 
Nevada Region's power resources are not fully subscribed, Western may 
market its resource outside the primary marketing area.
    3. Applicants that require power for their own use must be ready, 
willing, and able to receive and use Federal power. Federal power shall 
not be resold to others.
    4. Applicants that provide retail electric service must be ready, 
willing, and able to receive and use the Federal power to provide 
electric service to their customers, not for resale to others.
    5. Applicants must submit an application in response to this notice 
according to the procedures in the Dates Section above.
    6. Native American applicants must be a Native American tribe as 
defined in the Indian Self Determination Act of 1975 (25 U.S.C. 450b, 
as amended).
    7. Existing customers may apply for a resource pool allocation if 
their extension CRD, listed in Appendix A of the Marketing Plan, is not 
more than 15 percent of their peak load in calendar year 1998, and not 
more than 10 MW.
    8. Western will normally not allocate power to applicants with 
loads of less than 1 MW; however, allocations to applicants with loads 
which are at least 500 kilowatts (kW) may be considered, if the loads 
can be aggregated with other allottees' loads to schedule and deliver 
to a minimum load of 1 MW.

Allocation Criteria

    Western will apply the following allocation criteria to all 
applicants receiving a resource pool allocation under the Marketing 
Plan.
    1. Allocations will be made in amounts as determined solely by 
Western in exercise of its discretion under Reclamation law and 
considered to be in the best interest of the United States Government.
    2. Allocations may be based on the applicant's peak demand during 
calendar year 1998 or the amount requested, whichever is less.
    3. An allottee will have the right to purchase power from Western 
only upon execution of an electric service contract between Western and 
the allottee, and satisfaction of all conditions in that contract.
    4. Customers' percentages of the Base Resource will be subject to a 
reduction for the 2015 Resource Pool as described in the Marketing 
Plan.
    5. Eligible Native American entities will receive greater 
consideration for an allocation of up to 65 percent of their peak load 
in calendar year 1998.

Call for 2005 Resource Pool Applications

Applications for Power

    This notice formally requests applications from qualified entities 
wishing to purchase power from the Sierra Nevada Region. Specific 
applicant profile data (APD) is requested so that Western will have a 
uniform basis upon which to evaluate the applications. To be 
considered, applicants must submit an application to the Sierra Nevada 
Region containing the APD as requested below. To ensure that full 
consideration is given to all applicants, Western will not consider 
requests for power or applications submitted before publication of this 
notice or after the deadlines specified in the Dates Section.

Applicant Profile Data

    The content and format of the APD are outlined below. Please 
provide all information requested or the most reasonable estimates that 
are available. Please indicate if the requested information is not 
applicable or available. Western will request, in writing, additional 
information from any applicant whose application is deficient. The 
applicant will have ten (10) business days from the postmark date on 
Western's request to provide the information. In the event an applicant 
fails to provide sufficient information to allow Western to make a 
determination regarding eligibility, the application will not be 
considered.
    All items of information in the APD should be answered as if 
prepared by the organization seeking the allocation of Federal power. 
The APD shall consist of the following:
    I. Applicant:
    A. Applicant's (entity requesting a new allocation) name and 
address.
    B. Person(s) representing applicant: name, company, title, address, 
and telephone number.
    C. Type of organization: for example, municipality, public utility 
district, rural electric cooperative, irrigation or water district, 
Federal or state agency, or Native American tribe.
    D. Parent organization of applicant, if any.
    E. Name of members, if any.
    F. Applicable law under which organization was established.
    G. Applicant's geographic service area: if available, submit a map 
of the service area, and indicate the date prepared.
    H. Brief explanation of applicant's ability to receive and use or 
receive and distribute Federal power as of July 1, 2004.
    II. Service Requested:
    The megawatt amount of power applicant is requesting to be served 
by the Sierra Nevada Region.
    III. Loads:
    A. Maximum demand (capacity and energy use) for each month of 
calendar year 1998.
    B. Average annual and monthly load factors for calendar year 1998.
    C. Factors or conditions which may significantly change peak 
demands or load duration or profile curves in the next five (5) years.
    IV. Transmission:
    A. Brief description of applicant's transmission and distribution 
system including major interconnections. Provide a single-line drawing 
of applicant's system, if one is available.
    B. Requested point(s) of delivery on Western's system, voltage of 
service required, and capacity desired at the points of delivery, if 
applicable.
    V. Other Information:
    Any other information pertinent to receiving an allocation.
    VI. Signature:
    The signature and title of the appropriate official who is able to 
attest to the validity of the information submitted and who is 
authorized to submit the application is required.

Contracting Process

    Western will begin the contracting process with the allottees after 
publishing the final allocations in the

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Federal Register, tentatively scheduled for October 2000. Western will 
offer a prototype contract for power allocated under the Final 2005 
Resource Pool Allocations. Allottees will be required to commit to the 
Base Resource and Optional Purchase on or before December 31, 2000, and 
to the Custom Product on or before December 31, 2002, as described in 
the Marketing Plan. Electric service contracts will be effective upon 
Western's signature, and service will begin on January 1, 2005.

    Dated: October 4, 1999.
Michael S. Hacskaylo,
Administrator.
[FR Doc. 99-27247 Filed 10-18-99; 8:45 am]
BILLING CODE 6450-01-P